Ted Baker enjoys bumper sales
CUSTOMERS seeking quality and value yesterday ensured fashion group Ted Baker defied the high street gloom by stitching together strong sales and profits for the half year to August, the company said.
“I think customers trade up in these times because they want something with a longer life,” said founder and chief executive Ray Kelvin. “We’re making a luxury product at an affordable price.”
The company’s pre-tax profits rose 13 per cent to £8.5million on sales up nearly 17 per cent to £103million for the first six months to August. Kelvin said the firm’s desire to develop a strong brand allied to innovation had also paid off.
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Ted Baker opened four new stores during the half and is planning to open in Japan and Beijing, China, early next year. Kelvin is also looking forward to a new flagship store on Fifth Avenue, New York, which is due to open in the middle of next year.
I think customers trade up in these times because they want something with a longer life
Although the company said the recent hot weather had dented sales, Kelvin was confident ranges of coloured chinos and tweeds for men, with dresses and suits for women, would do well in the autumn.
However, Ted Baker said it was still “understandably” cautious “given the uncertain economic environment”. The shares fell 3p to 691p.